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U.S. Presidential hopeful Sen. Bernie Sanders (I-Vt.) called today for lowering the amount individuals can shield from the federal estate tax, and hiking estate tax rates across the board, as he introduced the Responsible Estate Tax Act. “This is a piece of legislation that addresses what I consider to be the most significant moral issue of our time,” he said at a press conference in Washington, D.C., citing growing economic inequality.

“Inequality is a crisis that threatens our country,” echoed Rep. Jan Schakowsky (D-Ill.), who is sponsoring a companion bill in the House of Representatives.

Sen. Sanders’ supporters listening in on Periscope tweeted: “We are the 99%.” “Got to get this guy elected!” A few skeptics chimed in too: “Well, it’s their money..why can’t they keep it?” “I understand the Walmart family, but if I die with $2 million, am I taxed twice?”

The guy worth $2 million doesn’t have to worry. The Sanders bill, a rewrite of a bill he introduced in 2010—the year the estate tax lapsed under the Bush tax cuts -- would exempt the first $3.5 million on an individual’s estate from estate tax. (A married couple could shelter $7 million.) That’s a huge drop from current law, a "permanent" $5 million exemption, indexed for inflation, brokered effective Jan. 1, 2011. For 2015, the individual exemption is $5.43 million ($10.86 million for a married couple). Still just 3 out of every 1,000 people who die would be subject to estate tax under the Sanders bill, compared to 2 out of 1,000 now. The higher the exemption, the more people don’t pay estate tax.

The other 99.7% wouldn't be affected by Sen. Sanders proposal to toughen the estate tax. (Credit: Getty Images)

For those who owe estate taxes, the tax rate is a flat 40% under current law. Under Sen. Sanders’ legislation, the tax rate would be 45% for estates valued between $3.5 million and $10 million. The rate on estates worth more than $10 million and below $50 million would be 50%, and the rate on estates worth more than $50 million would be 55%. An additional surtax of another 10%--for a 65% rate—would be assessed on billionaires.

The legislation also would close estate tax loopholes used by the rich, ending tax breaks for dynasty trusts, GRATs, and “sharply” limiting the annual exclusion from the gift tax—now set at $14,000 (you can now give $14,000 to as many individuals as you want each year without worrying about federal estate or gift tax)--down to $10,000, further limited if given in trust.

Estate tax foes beat Sen. Sanders with a bill to repeal the estate tax earlier this year. In April, the House of Representatives voted to kill the federal estate tax 240-179, with 7 Democrats joining. Anti-death tax advocates say it sets the stage for possible repeal in 2017. The repeal bill, H.R. 1105, was introduced by Kevin Brady (R-TX). Sen. John Thune (R-SD) sponsored a companion bill, S. 860.